Re: TSP Rollover Options
Originally Posted by
ocean
kannon,
You can rollover to IRA using TSP-77 form once you leave the government position either retiring or something else. No need to wait until you reach 59 1/2. I was in the same boat that I retired in Sep 2011 at 56 under FERS. I transferred most of my TSP fund to IRA and the process took less than 1 month. Now I am managing my own portfolio with dividend income in mind. Good luck to you.
Ocean
Steel On Target, Ocean. When you separate from Federal Service you can roll your TSP (which is really just a 401(k)) to a Traditional IRA - whether self-directed or managed. The reason for separation does not matter. You can even keep it in the TSP holding account and still manage it as you do now.
However, just to be clear, the pension portion of your retirement (FERS) is not vested till you attain a year count in Federal Service. Personally, I would prefer a higher match than a pension for this reason. Your TSP (401(k)) is yours and no politician can jigger it and the vesting is short. Your TSP assets are in Al Gore's 'Lock Box'.
By the way Ocean, thank you for the AutoTracker tool. It is a great tool for investing. And, it is a fun tool for competition - just not this year for me at least. I'm keeping silent. Nobody wants to buy my investment letter anymore.
Lookin' up at the 'G Fund'!!!
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